A former executive of MoviePass Inc., Khalid Itum, has been found guilty of embezzling over $260,000 from the popular subscription service and its parent company, Helios & Matheson Analytics. Itum, who was a Vice President of Business Development at the time, was convicted on two counts of wire fraud by a jury. However, he was acquitted on two counts of money laundering. The Department of Justice made the announcement regarding the verdict last Friday.
The embezzlement occurred as a result of Itum's attempt to repay debts incurred from organizing a marketing event at the renowned Coachella music festival in 2018. To finance this event, Itum established a separate company named Kaleidoscope Productions LLC. Allegedly, he borrowed money to fund the promotion and later repaid the debts by diverting funds from Helios & Matheson Analytics through falsified invoices.
